Town of Banff staff could see their salaries increase by 5.4%

0

“We’re kind of following the same philosophy as the last two years after taking the bad, and now we’re back in the good.”

BANFF – Town of Banff employees could benefit from a 5.4% increase in the cost of living next year.

On Monday, September 12, Banff’s Governance and Finance Committee approved Alberta’s updated CPI of 5.4% as the basis for the Town of Banff’s annual salary adjustment for the 2023 operating budget.

Banff’s financial plan guidance for staff salary increases is based on an average of Alberta’s CPI and a calculation of Alberta’s average weekly earnings, but the mayor and councilors again opted to use only Alberta CPI instead of blend.

“I believe the inflation rates are quite high,” Councilor Hugh Pettigrew said during the brief committee meeting.

“We’re kind of following the same philosophy as the last two years after taking the bad, and now we’re back in the good.”

In August, the governance and finance committee approved the municipality’s financial plan with a salary adjustment of 5.1%, but this was based on CPI estimates and not actual figures which increased 5.4%.

For 2021, Alberta’s average weekly earnings calculation was 7.7%, while Alberta’s CPI was 1.4%, which would have resulted in a 4.6% wage increase for Town of Banff staff.

Similarly, in 2022, the calculation of average weekly earnings was 8.8% and Alberta’s CPI was 1.6%, which would have meant a 4.6% increase in wages based on the orientation of the financial plan.

However, in both years the board chose to go with Alberta’s lower CPI due to economic uncertainty associated with the COVID-19 pandemic – and elected to do so again this year. also.

If the board had chosen to go with the financial plan, the increase would have been around 1.3%, based on the initial estimate of a 5.1% increase in the CPI and a negative 2.5% adjustment to average weekly earnings.

Andrea Stuart, chief financial officer for the Town of Banff, said that calculation is accurate in terms of formulating the financial plan.

“However, this is not in line with the spirit of the financial plan in that the annualized salary adjustment was not used by the board in the last two budget deliberations,” she said.

City manager Kelly Gibson said the results of a compensation review will be presented at the next meeting of the governance and finance committee on September 26.

He also said that the decision of the governance and finance committee is not necessarily the final decision on salaries.

“Any decision made under the financial plan is open for debate under the service review and budget discussions related to that,” he said.

Share.

Comments are closed.